Sunday, June 08, 2008
Bad policies
Sighs.. why can't I just be a driver.. gotta go for a operators' maintenance course next week, and that means they are teaching me how to be a better mechanic when it comes to servicing the armored vehicle. Ok, I hope it is not too a dirty job, I certainly don't envy the hands of those professional mechanics.. but the physics to be learnt maybe interesting. Sighs, its like 6 months since the start of my service to the government, still got 3 6 months duration to go. Other people are definitely getting a more fruitful life out there, socialising with people. In here, what's there much to socialise? The hierarchy of ranks is heavy, a flatter organisational structure with people working more like a team would be better.
Moving to another home soon, to some EC known as La Casa; basically still remaining in the same region: Woodlands. Well, when the renovation is over after July I think you people are free to come over, something like that, when I'm free enough, say during my longer breaks.
On a more serious note, looking at the newspapers these days, people are complaining everywhere about price hikes. People in Malaysia and Indonesia are close to rioting. Why don't they understand that the move is necessary? I think if the government was more open in explaining why, people might be able to understand. But the thing is, I think the media is not reporting the right thing. People must be under the impression that the government has plenty of money to support fuel subsidies. I'm not clear about the taxation structure in these countries, but maybe the feeling is that the citizens are already paying alot in terms of taxes and public utility bills, so why shouldn't the government continue to pay for them?
The government should not have in the first place implemented fuel subsidies. People become dependent on cheap fuel, and when prices suddenly increase they are 'not used to it'. It is understandable that energy is crucial to the economic functioning and growth of a nation. Subsequently, for a poor nation to consume expensive fuel.. well, its hard. Therefore, a poor nation remains poor because it simply cannot consume the energy that it needs that is required for economic activities.
Well, fuel is definitely expensive. But then again, many things are expensive, like so many of the capital the firms need to use. So what to these firms do? They raise money from other people who do have the money, by promising to repay them a percentage of future profits. Other countries can loan money to allow poor countries to buy expensive fuel to good use. A percentage of future national income is remitted back to the countries whom have invested in these poor countries. If a country squanders its loan through corruption, then that government has no business to remain on the international stage.
Sadly its up to these governments to ask for loans. If they want to implement things like a fuel subsidy, well, its only a matter of time before the whole thing collapse and they are pushed out from the system by disgruntled citizens, at great cost like riots. Its high time that governments understand that theirs is the hardest job in economy, for they have to guard the interests of a whole nation. The best way to do this, is to compete of international basis. Laissez-faire.
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